Trading Psychology : anger and trading

Trading is often about how to take the appropriate risk without exposing yourself to very human flaws.
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dmbusa
Posts: 266
Joined: Wed Jan 09, 2013 8:33 am

Tue Oct 24, 2017 7:20 pm

Can anyone recommend some good books on the psychology of anger?

Reason for the request is that yesterday I traded a few horse races and a couple of tennis matches while angry and lost two months worth of profit in one go. At the time I knew a) I was angry and therefore not in the right mindst to trade but did so anyway
b) I slao knew that the trades I entered were bad trades and the entry points were totally wrong but i still went ahead with them.

It was almost like my subconcious had taken over and i was on a self sabotage mission.

Many Thanks

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SeaHorseRacing
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Joined: Fri May 20, 2016 7:06 pm

Tue Oct 24, 2017 9:40 pm

Regards to books of Anger... I cant really recommend.

Rather then trying to control your anger try and work on yourself.

Theres two options.

I used to trade everything and anything with or without anger.

I taught myself some disciplines to help me.

However now.. Even when im feeling a bit shit or hungry I can trade through it fairly ok...
If im angry I simply wont trade... thats not because of my dicpline but more like its raining outside I cant be arsed to work.

Its great that your aware what anger did.

Create yourself some rules. They could be ridiculous, Lets say. If I sleep past 7am I wont trade for that day.

If I dont eat breakfast by 10am. I wont trade for the day.

These are just examples but find ways of teaching yourself discipline. Eventually they will become second nature.

I personally would only work on your anger if your an angry persona and are constantly angry, however if you lost money because of a rare anger outburst. Work on your discipline not your anger.

I get angry now and again and its just natural.

Learn about yourself. It will take time for sure.

The reason why most people fail at trading is because they only try to change habits related to trading rather then changing your life.

From trading I learned I was very impatient, open trades early in markets just click as soon as I thought I knew I was right... but in reflection to me I was just like that. Shoving food down my throat as quick as I could.

For those who are being held back by trading, it is a personal trade that is reflecting in your life.

Learning about the markets comes with time but everything else is hard work.

Find me someone who works in finance, never broke the law, great up bringing, self dependant, financially stable and fairly clever... they would crack trading alot quicker then most.
Thats because there roots are perfect for trading. Its just a rough example.

Find out what behavour is ruining your trading and see if you can translate that into other areas of your life.
You then know what needs to be done.

If you cant manage your bills, pay your rent or have a good credit rating how can you possibly manage a trading account?? See what I mean?

Hope you understand what I mean and hope it helps you.

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Kafkaesque
Posts: 443
Joined: Fri Oct 06, 2017 10:20 am

Wed Oct 25, 2017 2:06 am

I'll second what Seahorse said in a great reply above!

FWIW, in terms of books, you'll likely find that most books and/or research about anger is more centered around more common social settings than gambling (and possibly violence issues). You're best bet what be to have a look around for books with the subject matter of psychology of betting or gambling. Come to think of it, there's one called "The Psychology of Poker" which I read ages ago, when I played poker for a living. As I recall, many aspects would be transferable.

I hope, you don't take this the wrong way, but only looking at the above subject matter, I would keep an open mind towards books on the psychology of problematic gambling/addiction. It might feel wrong to you, and I'm in no way saying, you've got a problem, based on so very little info. However, you may find that the mechanisms and triggers are similar to what happened the other night.

The Chimp Paradox by Steve Peters is highly recommendable as well.

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LeTiss
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Joined: Fri May 08, 2009 6:04 pm

Wed Oct 25, 2017 8:52 am

I've said this many times, and I happily stand by it!

I believe the psychology aspect of trading is far more important than studying graphs!

dmbusa
Posts: 266
Joined: Wed Jan 09, 2013 8:33 am

Wed Oct 25, 2017 9:44 am

SeaHorseRacing, Kafkaesque I really appreciate you taking time out to give such positive helpful replies, and yes books on the psychology of gambling / trading would be more in line with what I was asking for.

many Thanks

iambic_pentameter
Posts: 332
Joined: Wed May 18, 2016 1:24 pm

Wed Oct 25, 2017 10:50 am

LeTiss wrote:
Wed Oct 25, 2017 8:52 am
I've said this many times, and I happily stand by it!

I believe the psychology aspect of trading is far more important than studying graphs!
100% agree with this.

aines88
Posts: 22
Joined: Sun Jan 03, 2016 8:51 pm

Wed Oct 25, 2017 12:33 pm

dmbusa wrote:
Wed Oct 25, 2017 9:44 am
books on the psychology of gambling / trading would be more in line with what I was asking for.

many Thanks
Trading In The Zone by Mark Douglas is a good start - helps you understand why certain emotions kick in during trading & how to deal with it.

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ruthlessimon
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Joined: Wed Mar 23, 2016 3:54 pm

Wed Oct 25, 2017 12:48 pm

dmbusa wrote:
Tue Oct 24, 2017 7:20 pm
Reason for the request is that yesterday I traded a few horse races and a couple of tennis matches while angry and lost two months worth of profit in one go.
Just a query. If your nephew came to see you tomorrow (or anyone you trusted), could you explain your edge to him & your process for trading those markets in detail? If the answer is no, then no psychology book will help.

Mark Douglas makes a big assumption in his books & videos - you have a verified edge.

I'd bet the farm LeTiss could explain to his nephew exactly how he trades, what his edge is & why it works. Therefore, if his nephew can't make it work or the edge is very slim, then researching psychology would be a good avenue to pursue.

dmbusa
Posts: 266
Joined: Wed Jan 09, 2013 8:33 am

Wed Oct 25, 2017 1:08 pm

ruthlessimon wrote:
Wed Oct 25, 2017 12:48 pm

Just a query. If your nephew came to see you tomorrow (or anyone you trusted), could you explain your edge to him & your process for trading those markets in detail? If the answer is no, then no psychology book will help.
The answer to that would be yes I could

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ruthlessimon
Posts: 1513
Joined: Wed Mar 23, 2016 3:54 pm

Wed Oct 25, 2017 1:20 pm

dmbusa wrote:
Wed Oct 25, 2017 1:08 pm
The answer to that would be yes I could
Good, I think far too many people are quick to assume it's bad psychology, when in fact it's a bad edge. So some psychology advice certainly would go a long way to help solving your problem.

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